Smallcap stock jumps 12% after receiving buy call for an upside of more than 35%

The staffing solutions industry in India is experiencing robust growth, driven by increased demand for flexible hiring, skilled professionals, and specialized talent acquisition. With India’s workforce expanding and businesses focusing on optimizing operations, staffing companies provide solutions for temporary, permanent, and contractual recruitment. The sector is further propelled by the rise of startups, IT services, healthcare, and e-commerce, creating a significant need for agile staffing strategies. 

Major players like Quess Corp, TeamLease Services, and Randstad India dominate the market, offering scalable workforce solutions. The adoption of AI-powered recruitment, remote work trends, and a focus on upskilling presents immense future possibilities. As businesses expand globally, Indian staffing firms are well-positioned to play a critical role in bridging talent gaps. 

Share Price 

The shares of Quess Corp are trading at Rs. 730.65 up by 9.06% from its previous close of Rs. 670.05 as of December 17, 2024. The stock also touched an intraday high of Rs. 739.4. 

Recent Updates:

Antique Broking Sets Rs. 1,000 Target for Quess Corp 

Antique Broking has initiated coverage on Quess Corp with a ‘Buy’ rating and a target price of Rs. 1,000 per share, anticipating a 12-14% revenue CAGR over FY24-27. The brokerage attributes this growth to strong demand across sectors such as BFSI, manufacturing, and telecom, driven by urbanization and the rapid rise of Global Capability Centers (GCCs) in India. 

Improved Demand and Margins Boost Outlook 

Quess Corp’s stock has gained 35.4% over the past year, outperforming the Sensex’s 14% rise. This recovery follows years of underperformance, with demand and margin outlooks improving significantly. The company’s focus on efficient capital allocation, operational streamlining, and business demergers has strengthened its growth trajectory. 

PLI Schemes and Geopolitical Shifts to Sustain Growth 

The Production Linked Incentive (PLI) schemes and the China Plus One strategy are expected to sustain medium-term growth for Quess Corp. These factors, combined with consolidation efforts, position the company to capitalize on emerging opportunities, making it an attractive investment opportunity. 

Targets given by Brokers 

● Antique Broking: Target price ₹1,000, ‘Buy’ rating. 

● Phillip Securities: Target price ₹960.

● IIFL Institutional Equities: Target price ₹940. 

About the Company 

Quess Corp Limited is a leading Indian business services provider, offering a wide range of outsourced solutions to drive client productivity. Recognized as a top 50 global staffing company and one of India’s top 3, Quess delivers technology-enabled staffing and managed outsourcing services across sectors such as sales, marketing, customer care, back-office operations, manufacturing, HR, finance, IT, and mobility services. 

With a workforce of over 61,000 in HR services and 384,000+ in business services for FY23, Quess is committed to providing comprehensive solutions. The company’s operations are structured into four key segments: Workforce Management (WFM), Operating Asset Management (OAM), Global Technology Solutions, and Product Led Business (PLB), ensuring extensive coverage and future readiness for its clients. 

Written By: Dipangshu Kundu 

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